The Memphis appeal. [volume] (Memphis, Tenn.) 1886-1890, 1887-04-19
MEMPHIS Daily APPEAL-TUEyDAY, APRIL 10. 1887,
lLLlSeI Oh TlE SURPLUS
WHICH JOHN SHERMAN WANTS
10 GIVE TO PENSIONERS.
He Wants Liberal Appropriations,
Tee, But Is In Favor Of Cut.
ting Taxes.

WASHINGTON, April Is. - In an
interview by New York Herald cor
respondent with Senator Allison, Of
Iowa, touching several topics of esp pc.
cisl interest to the commercial aad
financial world he spoke with his &C.
customed frsnkness. Senator Allison
has been for many years chairman OF
the Committee on Appropriations as
we'll az q prominent member of the
Fina ace Committee. He is chairman
OF the subcommittee having under
consideration the subject Of under
valuations. He is an sckno wledged
authority upon ! questions relating
to revenue and finance, and for this
reason an expression Of his views will
be read with interest by thoughtful
men generally. Your correspondent
opened the talk by saying: II notice
the subcommittee on the subiect OF
sndeEvslustions Is In session this
week. How long will it probably con-
tinue in session ard what progress
b We yos made thu fa 2
Senator Allison replied: Eyes; the
committee has been in session every
day this week and will sit here for the
remainder OF the week. The com.
mttee has made very satisfactory
progress considering the magnitude OF
the subject and the difficulties in the
way CT reaching correct conclusions.
During the first session OF the last
Congress the com mittee took con-
siderable amount Of testimony which
wal not printed until recently. In
addition to this Secretary Manning
gathered large amount OF material
of value TO the committee. He was
very industrious in gathering inn
portent facts, aud very intelligent in
the discussion Of them, as also Of the
various remedies proposed to check
undervalustioDs, and In a general way,
OF legislative remedies to secure more
efficient administration Of the customs
laws.
THE committee was not able to re-
port at the long stsson in time for &C.
ton. II also found some feeling on
the part OF the House lest the Senate
should trench upon the exclusive right
of the House TO originate revenue
bille, as 1t is difficult to institute ei-
fective legislation in the machinery
for collecting revenue without 10 some
sense affecting the rates OF duty. At
the last session the time was too short
TO accomplish anything, and the com.
mittee will occupy sufficient time dur.
ing the vacation to prepare and have
ready for presentation at the begin
ming OF next session such m easures as
may be thought necessary to correct
existing evils, 30 far as they can be
corrected by statutes. We will ad-
journ on Saturday to meet some time
in May, and will probably hold brief
sessions during the summer in Chi
cago, New York and Boston. We
have this week blocked out quite
fully the WORK, but none OF 1t Is suffi-
GENTLY matured to give to the public
Alter the work is prepared in the
form OF q bill we will sub nit 1t to the
public so as to invite criticism from
the merchants, manufacturers and i'm.
portes, go that II mistakes are dis.
closed by these critcismsth cam init.
tee can reviss it's work before the
meeting Of Congress"
| What is likely to be the stu alton re-
specting the surplus, owing to failure
to reduce taxation at the last SEES.
sionP"
"There will probably be no consid.
cradle accumulation Of the surplus
during the remaider Of this Fl cal year.
Toe debt was reduced 10 $4,000, 900
during the last month, and the money
in the Treasury increased about 81
600, 600, 30 that al this rate, or any rea-
sonable approa h to 1t, tbs redemption
| OF all the per cents. will take place
between now and July lst. Alter that
time there will be constant accumu.
lstion OF money in the Treasury over
and above current payments to the
extent Of from S8,000,OO0 to $l0.00O,-
a month until Congress either reduces
taxes or makes new Rud additional
appropriations. II Congress does not
convene until December no tax reduc
ton 10 probable before a year from
next July-ths result Of which would
be an accumulation of a surplus in
addition TO tfat now ia tia Treasury
of from 800 000. 900 to 800 O00,G01."
ut has beon suggested that the Sec,
rotary Of the Trea'ury might uilz3
the national bank repositories for the
deposit OF the accommodating surplus
and that they In turn could loan it
and thus keep the money received in
the hands of the people?'
II have heard this proposition dis
cussed here aud there, but 1t does not
seem to me feasible. 1t might be done
to some extent, but 1t would not be
wise ~ placs large sums in this way
with the banks. They could not loan
1t for business purposes without an
understanding that 1t was not to bs
| called for by the Treasury. Such an
understanding would lead to favoIit.
ism and speculation. These national
deposit Jries are established only to IA
cilitate government collections and
payments, and not as favorites TO loan
| public money. With rare exOep ions
the money held by these repositories
has always been subject to draft
a. any time, and the deposits
have been made only upon the
security Of government bonds, 80
that this scheme or plan is not practi.
cable 10 any considerable extent In
providiuga method to keep in circu-
lation money dTa En into the Treasury
by tax ,tion, The true method is to
appropriate sonable sums for the
purposes OF government and then re-
duce taxes 30 that there will be no
great surplus know Of but one way
t. reduce this amount-thst is, to Ga
into the open market and buy malured
tours or four aud halls ard pay the
current premium for them. The sink.
ing fund will r quire for the fiscal
year, 1883, about $46,000,O00. II this
requirement is met, that amount OF
fours or four and halls must be pur.
chased, and to that extent the surplus
will be reduced. This the Seer etary
will do undoubte dly-frst, because
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